diff --git a/docs/docs/hasura-cloud/plans.mdx b/docs/docs/hasura-cloud/plans.mdx
index 458206335f2..02fd489573b 100644
--- a/docs/docs/hasura-cloud/plans.mdx
+++ b/docs/docs/hasura-cloud/plans.mdx
@@ -136,20 +136,32 @@ price depends on the type(s) of database(s) connected to the Project. If a Proje
 a premium database, **you are billed only once for a premium database no matter how many or how different types you
 add**.
 
-| Database Type      | Rate     |
-| ------------------ | -------- |
-| Generic Postgres   | $1.50/hr |
-| Snowflake          | $3.00/hr |
-| BigQuery           | $3.00/hr |
-| Athena             | $3.00/hr |
-| MSSQL              | $3.00/hr |
-| CockroachDB        | $3.00/hr |
-| Google AlloyDB     | $3.00/hr |
-| Citus / Hyperscale | $3.00/hr |
+| Database Type      | Rate            |
+| ------------------ | --------------- |
+| Generic Postgres   | $1.50/active-hr |
+| Snowflake          | $3.00/active-hr |
+| BigQuery           | $3.00/active-hr |
+| Athena             | $3.00/active-hr |
+| MSSQL              | $3.00/active-hr |
+| CockroachDB        | $3.00/active-hr |
+| Google AlloyDB     | $3.00/active-hr |
+| Citus / Hyperscale | $3.00/active-hr |
+
+:::info Active-hr
+
+An hour is considered an active hour when an activity is attributed to a Project during that hour. A few examples of
+activity are:
+
+- any GraphQL, REST, Metadata API request
+- an active subscription
+- an open websocket connection
+- an event-triggered activity
+
+:::
 
 :::info Projects without databases
 
-A Project without a connected database is billed at $1.50/hr.
+A Project without a connected database is billed at $1.50/active-hr.
 
 :::
 
@@ -162,18 +174,17 @@ You will be billed based on this volume of data which passes through your Projec
 
 #### Example Calculation
 
-Assuming thirty days in the month, you start with one Project with a Postgres data connector for the first twenty-one
-days of the Project:
+Assuming thirty days in the month, you start with one Project with a Postgres data connector for the first twenty days
+of the Project and add Snowflake data connector for the remaining 10 days.
 
-`21 days * 24 hrs/day * $1.50/hr = $756`
+Assuming your Project is active for 8 hrs a day
 
-On the twenty-second day, you decide to add the Snowflake data connector and leave it connected until the end of the
-month:
+`20 days * 8 hrs/day * $1.50/hr = $240`
 
-`9 days * 24hrs/day * $3.00/hr = $648`
+`10 days * 8 hrs/day * $3.00/hr = $240`
 
-Let's assume the data passthrough for the entire month is 1000 GB:
+Let's assume the data passthrough for the entire month is 100 GB:
 
-`1000 GB * $0.13/GB = $130 Total`
+`100 GB * $0.13/GB = $13 Total`
 
-The total cost for the month is $1534.
+The total cost for the month is $493.